Sunday, December 14, 2014

Labor unions saved Ford in our 'darkest' hour: Bill Ford

Though they are sometimes blamed for the financial woes at other car companies, labor unions actually helped "save" Ford Motor as competitors such as General Motors went bankrupt, Bill Ford told CNBC on Thursday.

Ford, the executive chairman of the Detroit automaker, said in an interview on CNBC's "Squawk Box" that former UAW President Ron Gettelfinger doesn't get enough credit for helping to shore up the books during Ford's "darkest hour."

"When we got into a really tough period, I sat down with Ron and I said, 'You have to help me save the Ford Motor Company so we didn't have to go through bankruptcy, so we didn't have to get a federal bailout,'" Ford said. "And he did that."

Ford credited the union with helping his company regain a foothold in the North American market. He added that the UAW helped the entire industry "get back on its feet."

After years of receiving favorable contracts leading up to Ford's financial woes that began in 2007, the UAW rebalanced its health-care costs and improved performance in manufacturing plants, he said.

Asked about why he thought Volkswagen employees in Tennessee declined to unionize last month, Ford chalked it up to the South's attitude toward unions.

"Surprised? No, because there's a long history of organizing that didn't go well in the South," Ford said. "I would say this. We've had a great relationship with our workforce. I don't look at them as union and nonunion but as Ford workers. ... We have a lot of second-, third-, fourth-, fifth- and even sixth-generation workers at Ford in our company."

Those employees helped pull the auto company "through the dark days," Ford added.